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China looks to overtake US lead in AI research
A new study from a team of economists at the University of Toronto has concluded that China is steadily gaining on the United States in the field of artificial intelligence.
The 2017 Association for the Advancement of Artificial Intelligence (AAAI), a worldwide conference that presents the achievements of the world’s AI leaders, indicated that 23 percent of the authors of academic papers were based from China, according to the AI and International Trade study. This was a massive leap in terms of research output, considering that Chinese AI researchers only contributed 10 percent of the research output in the 2012 AAAI.
The United States, on the other hand, seems to be experiencing a steady decline in its artificial intelligence initiatives. While 34 percent of the academic papers presented in the 2017 AAAI were still American, the number shows a significant decrease from the output of the country’s researchers back in 2012, when studies from the United States represented 41 percent of the academic papers in the conference.
The University of Toronto researchers ranked the world’s most AI-active countries based on time-series data on the institutional affiliation of all authors of papers presented at the AAAI Conference. From this data, the economists concluded that China is catching up rapidly to the United States, with the former exhibiting a 13% growth in research output and the latter showing a 6% decline in academic papers from 2012-2017. The other countries in the Top 5 of the study’s rankings — the UK, Singapore, and Japan — were fairly consistent with their research output during the same period.
In a statement to the New York Times, Elsa Kania, an adjunct fellow at the Center for a New American Security, stated that the United States’s own AI initiatives during the Obama administration might have ironically triggered the artificial intelligence boom in the Asian economic superpower.
“It is remarkable to see how AI has emerged as a top priority for the Chinese leadership and how quickly things have been set into motion. The US plans and policies released in 2016 were seemingly the impetus for the formulation of China’s national AI strategy,” she said.
Not long after the release of the previous administration’s AI reports, China unveiled a plan to become a world leader in artificial intelligence by 2025. By 2030, China aims to have an AI industry worth $150 billion to its economy — one that can stoke national pride and spark breakthroughs in the field.

AI will foster an era of ‘superhuman’ workers, says Google X founder [Photo credit: iStockPhoto]
Seemingly in contrast to China, the United States appears to have tempered down its efforts to maintain its lead in the artificial intelligence field. In a statement to the New York Times, Jack Clark of Elon Musk-backed OpenAI stated that the United States currently lacks a central national strategy in AI. Unfortunately for the US, a focused national stance on intelligent technologies is something that China has in abundance.
“We may have a bunch of small initiatives inside the government that are doing good, but we don’t have a central national strategy. It is confusing that we have this technology of such obvious power and merit and we are not hearing full-throated support, including financial support,” Clark said, according to an NYT report.
As we noted in a previous report, China recently announced a massive AI-driven initiative in the form of a massive 54.87-hectare, 13.8 billion yuan ($2.1 billion) technopark in Beijing that would house companies directly involved in the development of AI technologies and machine learning. The technopark is part of China’s attempts at attaining global AI superiority by 2025.
Overall, despite warnings from Tesla and SpaceX CEO Elon Musk and prominent physicists such as Stephen Hawking, countries such as China are going full throttle towards a future that is rife with evolving, intelligent AI.
Elon Musk
Why Tesla’s Q3 could be one of its biggest quarters in history
Tesla could stand to benefit from the removal of the $7,500 EV tax credit at the end of Q3.

Tesla has gotten off to a slow start in 2025, as the first half of the year has not been one to remember from a delivery perspective.
However, Q3 could end up being one of the best the company has had in history, with the United States potentially being a major contributor to what might reverse a slow start to the year.
Earlier today, the United States’ House of Representatives officially passed President Trump’s “Big Beautiful Bill,” after it made its way through the Senate earlier this week. The bill will head to President Trump, as he looks to sign it before his July 4 deadline.
The Bill will effectively bring closure to the $7,500 EV tax credit, which will end on September 30, 2025. This means, over the next three months in the United States, those who are looking to buy an EV will have their last chance to take advantage of the credit. EVs will then be, for most people, $7,500 more expensive, in essence.
The tax credit is available to any single filer who makes under $150,000 per year, $225,000 a year to a head of household, and $300,000 to couples filing jointly.
Ending the tax credit was expected with the Trump administration, as his policies have leaned significantly toward reliance on fossil fuels, ending what he calls an “EV mandate.” He has used this phrase several times in disagreements with Tesla CEO Elon Musk.
Nevertheless, those who have been on the fence about buying a Tesla, or any EV, for that matter, will have some decisions to make in the next three months. While all companies will stand to benefit from this time crunch, Tesla could be the true winner because of its sheer volume.
If things are done correctly, meaning if Tesla can also offer incentives like 0% APR, special pricing on leasing or financing, or other advantages (like free Red, White, and Blue for a short period of time in celebration of Independence Day), it could see some real volume in sales this quarter.
You can now buy a Tesla in Red, White, and Blue for free until July 14 https://t.co/iAwhaRFOH0
— TESLARATI (@Teslarati) July 3, 2025
Tesla is just a shade under 721,000 deliveries for the year, so it’s on pace for roughly 1.4 million for 2025. This would be a decrease from the 1.8 million cars it delivered in each of the last two years. Traditionally, the second half of the year has produced Tesla’s strongest quarters. Its top three quarters in terms of deliveries are Q4 2024 with 495,570 vehicles, Q4 2023 with 484,507 vehicles, and Q3 2024 with 462,890 vehicles.
Elon Musk
Tesla Full Self-Driving testing continues European expansion: here’s where
Tesla has launched Full Self-Driving testing in a fifth European country ahead of its launch.

Tesla Full Self-Driving is being tested in several countries across Europe as the company prepares to launch its driver assistance suite on the continent.
The company is still working through the regulatory hurdles with the European Union. They are plentiful and difficult to navigate, but Tesla is still making progress as its testing of FSD continues to expand.
Today, it officially began testing in a new country, as more regions open their doors to Tesla. Many owners and potential customers in Europe are awaiting its launch.
On Thursday, Tesla officially confirmed that Full Self-Driving testing is underway in Spain, as the company shared an extensive video of a trip through the streets of Madrid:
Como pez en el agua …
FSD Supervised testing in Madrid, Spain
Pending regulatory approval pic.twitter.com/txTgoWseuA
— Tesla Europe & Middle East (@teslaeurope) July 3, 2025
The launch of Full Self-Driving testing in Spain marks the fifth country in which Tesla has started assessing the suite’s performance in the European market.
Across the past several months, Tesla has been expanding the scope of countries where Full Self-Driving is being tested. It has already made it to Italy, France, the Netherlands, and Germany previously.
Tesla has already filed applications to have Full Self-Driving (Supervised) launched across the European Union, but CEO Elon Musk has indicated that this particular step has been the delay in the official launch of the suite thus far.
In mid-June, Musk revealed the frustrations Tesla has felt during its efforts to launch its Full Self-Driving (Supervised) suite in Europe, stating that the holdup can be attributed to authorities in various countries, as well as the EU as a whole:
Tesla Full Self-Driving’s European launch frustrations revealed by Elon Musk
“Waiting for Dutch authorities and then the EU to approve. Very frustrating and hurts the safety of people in Europe, as driving with advanced Autopilot on results in four times fewer injuries! Please ask your governing authorities to accelerate making Tesla safer in Europe.”
Waiting for Dutch authorities and then the EU to approve.
Very frustrating and hurts the safety of people in Europe, as driving with advanced Autopilot on results in four times fewer injuries!
Please ask your governing authorities to accelerate making Tesla safer in Europe. https://t.co/QIYCXhhaQp
— Elon Musk (@elonmusk) June 11, 2025
Tesla said last year that it planned to launch Full Self-Driving in Europe in 2025.
Elon Musk
xAI’s Memphis data center receives air permit despite community criticism
xAI welcomed the development in a post on its official xAI Memphis account on X.

Elon Musk’s artificial intelligence startup xAI has secured an air permit from Memphis health officials for its data center project, despite critics’ opposition and pending legal action. The Shelby County Health Department approved the permit this week, allowing xAI to operate 15 mobile gas turbines at its facility.
Air permit granted
The air permit comes after months of protests from Memphis residents and environmental justice advocates, who alleged that xAI violated the Clean Air Act by operating gas turbines without prior approval, as per a report from WIRED.
The Southern Environmental Law Center (SELC) and the NAACP has claimed that xAI installed dozens of gas turbines at its new data campus without acquiring the mandatory Prevention of Significant Deterioration (PSD) permit required for large-scale emission sources.
Local officials previously stated the turbines were considered “temporary” and thus not subject to stricter permitting. xAI applied for an air permit in January 2025, and in June, Memphis Mayor Paul Young acknowledged that the company was operating 21 turbines. SELC, however, has claimed that aerial footage shows the number may be as high as 35.
Critics are not giving up
Civil rights groups have stated that they intend to move forward with legal action. “xAI’s decision to install and operate dozens of polluting gas turbines without any permits or public oversight is a clear violation of the Clean Air Act,” said Patrick Anderson, senior attorney at SELC.
“Over the last year, these turbines have pumped out pollution that threatens the health of Memphis families. This notice paves the way for a lawsuit that can hold xAI accountable for its unlawful refusal to get permits for its gas turbines,” he added.
Sharon Wilson, a certified optical gas imaging thermographer, also described the emissions cloud in Memphis as notable. “I expected to see the typical power plant type of pollution that I see. What I saw was way worse than what I expected,” she said.
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